According to PliXuS Insight,On March 24, Kanghui, a major domestic flame retardant producer, initiated a price increase, announcing a raise of 6,000 yuan per ton for the modified PBT brominated flame-retardant series specifications. Previously, Kingfa Sci. & Tech. also announced price increases for all series of brominated flame-retardant products in PP, HIPS, ABS, PA, etc. The main reason is the sharp rise in the price of antimony, a key raw material for brominated flame retardants, due to low inventory levels and the country's increased export controls on antimony and related products.

A review of historical occurrences shows that the prices of brominated flame retardant products have experienced significant fluctuations, and such frequent surges are not uncommon. What are the underlying reasons behind these frequent price spikes?

Zhuansu Vision Research has found that the upstream raw material for brominated flame retardant products is bromine, which has a low degree of domestic production and a high reliance on imports. It is also classified in China as a category.Class 8 hazardous chemicals, classified as primary inorganic acidic corrosive substances, are also toxic, thus their production is subject to environmental protection standards.

The unstable international situation has a greater impact on high-import varieties.

The data shows that,In February 2025, the national bromine production reached 16.39 million tons, with imports totaling 53.8 million tons, resulting in a high import dependence of 77%. However, overseas bromine production also relies on importing antimony raw materials from China. In 2024, China implemented export controls on antimony, causing prices to soar.请提供需要翻译的内容或下图的描述。This year,In early February, to safeguard national security and interests and fulfill international obligations such as non-proliferation, the Ministry of Commerce and the General Administration of Customs announced export control measures on bismuth, tungsten, tellurium, molybdenum, and indium-related items. Coupled with low inventory levels, this ignited market sentiment for antimony, causing prices to surge. The increased costs were passed down through the supply chain, leading to a sharp increase in the price of bromine and downstream flame retardant products in the domestic market.

Environmental factors have also been significant drivers of historical price fluctuations.

The production of bromine often involves substantial energy consumption and environmental pollution, making it a high-energy-consuming and highly polluting industry.Ninety-nine percent of the world's bromine is stored in seawater. Bromine production enterprises in China are mainly concentrated along the Bohai Sea, with Shandong Province being the most centralized, accounting for 81% of the country's capacity. In recent years, due to the promotion of dual carbon and environmental protection policies in Shandong, bromine production is often affected.(The figure below), prices have also experienced significant fluctuations.

Author: Zhou Yongle,资深行情分析专家 at Zhoushu Vision